Philadelphia, Pennsylvania--(Newsfile Corp. - April 25, 2023) - A federal securities class action complaint against Ginkgo Bioworks Holdings, Inc. (NYSE: DNA) F/K/A Soaring Eagle Acquisition Corp. (NASDAQ: SRNG) and certain of its officers has survived a motion to dismiss.
On October 6, 2021, after the shareholder vote and after Ginkgo's IPO via reverse merger with Soaring Eagle, market researcher Scorpion Capital released a 175-page report ("Scorpion Report") describing Ginkgo as a "shell game" whose revenue is highly dependent on related party transactions. On that same day, Citron Research also came out with an article corroborating the factual findings in the Scorpion Report. The Scorpion Report's allegations were also consistent with an article in the MIT Technology Review, which cited a source stating Ginkgo was acting as "an arm of [its principal investor] Viking," and that its "true business could be described as financial engineering, not genetic engineering."
Here, the Court concluded that defendants' knowledge of their commission of wrongful acts as to most of the claims alleged in the complaint was "easily inferred."
Current long-term Ginkgo shareholders who acquired shares via the Soaring Eagle SPAC on or about August 19, 2021, can seek corporate reforms, the return of funds spent defending litigation back to the company, and a court approved incentive award at no cost to them whatsoever.
If you would like to learn more about this matter, you are encouraged to visit https://grabarlaw.com/the-latest/ginkgo-bioworks-shareholder-investigation/, contact us at jgrabar@grabarlaw.com, or call 267-507-6085.
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Joshua H. Grabar, Esq.
Grabar Law Office
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1650 Market Street, Suite 3600
Philadelphia, PA 19103
Tel: 267-507-6085
Email: jgrabar@grabarlaw.com
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